ISLAMABAD: The federal government, dropping a petrol bomb on the public, has announced a significant hike of Rs 10 per litre in the fuel prices, effective July 1, 2025 .
According to a statement from the Finance Division, the price of petrol has been increased by Rs8.36 per litre, bringing the new rate to Rs266.79 per litre, up from Rs258.43.
High-Speed Diesel (HSD) saw an even bigger jump of Rs10.39 per litre, raising its price from Rs262.59 to Rs272.98.
The decision was taken on the recommendation of the Oil and Gas Regulatory Authority (OGRA) and concerned ministries, the statement said.
Govt cuts LPG prices by Rs7.43 per kg
This marks the second consecutive increase in two weeks. Earlier, petrol had gone up by Rs 4.80 per litre and diesel by Rs 7.95 per litre.
The government attributed the hike in fuel prices to fluctuations in global oil prices due to market instability.
Sources said that the government has also imposed a carbon levy of Rs2.50 per litre on fuel. The petroleum development levy (PDL) on petrol has now been adjusted to Rs75.52 per litre, while diesel will carry a levy of Rs74.51 per litre.
Meanwhile, global oil markets witnessed a decline as investors factored in reduced tensions in the Middle East and the likelihood of increased OPEC+ output in August. Both Brent and US crude benchmarks logged their steepest weekly losses since March 2023.